WTI clocks 2-week highs above $ 68.50 ahead of US drilling data

• US sanctions on Iran fan expectations of tighter markets, support prices.
• All eyes on the US durable goods and rigs count data for further upside.

WTI (oil futures on NYMEX) resumed its bullish momentum on Friday, having reversed a temporary pullback seen a day before to hit fresh two-week tops above the midpoint of the $ 68 handle.

The bulls regained poise amid re-emergence of concerns over global supplies, as markets remain wary over the additional US sanctions on Iran, targeting the oil sector of the OPEC’s no.3 oil producer.

Additionally, a softer tone seen around the US dollar across its main competitors also keep the sentiment somewhat buoyant. The US dollar remains on the back foot, in anticipation of a drop in the US durable goods data and Fed Chair Powell’s speech due later on Friday.

Also, of relevance remains the US drilling sector activity report due to be published by Hughes and Baker oilfield Services Company at 1700 GMT.

WTI Technical Levels

The Swissquote Bank Research Team writes: “Long positions above 67.60 with targets at 68.50 & 68.90 in extension. Below 67.60 look for further downside with 67.35 & 66.80 as targets. The RSI shows upside momentum.”